This week Global Corporate Venturing is about to close its annual survey, aiming to gather responses from corporate venturing players around the globe and provide a definitive overview of the industry in its upcoming World of Corporate Venturing 2020 report which will be published in January 2020. We strongly encourage you to participate and complete the survey, as respondents to the survey will receive a free copy of the report and help potential subsequent academic research by our partners:
Please click here complete the survey
Thanks to the previous annual survey, we obtained interesting insights. Investment funds are judged on their performance and this applies also to corporate venturing funds. When comparing a portfolio’s worth to net asset value by multiple, most corporate investors (65%) claim to stand at between 100% and 200%.
The venture capital business inevitably involves bad bets and losses due to the high degree of uncertainty and risk in startups. Naturally, in such a business, the lower the number of bad bets, the better the overall performance of the fund. Most corporate venturers (77%) say the loss rate of their fund – defined as the percentage of investments that fail to return the capital invested – is 30% or lower. Theoretically, this could be accounted for by the industry expertise that corporate venture firms possess, presumably unlike their traditional venture peers.
